Alter: Lobbyist Brawl May (Really) Fix Taxes

[xchrom]

http://www.bloomberg.com/news/2011-08-05/coming-lobbyist-brawl-may-really-fix-our-taxes-jonathan-alter.html

Lobbyists, of all people, may soon inadvertently bring us what lobbyists have long fought against - - a flatter, simpler tax code that offers fewer gifts for special interests. As a bonus, it would also help bring down the deficit.

To understand why this happy result may be in reach, we must return to a subject you’re sick of: the much-maligned deal Congress struck to lift the debt ceiling. That deal set up a process that might not advantage the forces of extortion in the same way the old one did.

The new law cuts about $900 billion in discretionary spending and establishes a 12-person “supercommittee” to find $1.5 trillion in additional savings over 10 years. At least they’ll be looking in the right places: tax reform and entitlement reform. With a mere majority of the 12 required, they must present a bill to Congress for an up-or-down vote (no amendments) by Christmas. If the bill fails, the now-famous triggers will automatically cut $1.2 trillion, half from defense and half from non-defense programs, including Medicare.

The rock-hard assumption in Washington this week is that the supercommittee can’t possibly get anything done. Depressed Democrats, girding to fight the last war, are certain that Republicans will gladly take hostages once again rather than make concessions on the revenue side.




***:eyes: hope springs eternal?

[Angry Dragon]

1. Bloomberg is wrong

has to be presented to Congress by 11-23-2011
voted on by 12-23-2011

[Faygo Kid]

2. Lobbyists will make sure that their clients make $$$ and screw the rest of us.

As always. We are going to need those groups who actually advocate for social programs (gasp) to really step up in this process. In the end, since the Republicans will never yield on taxes, the Dems will cave again. Appropriate that the recommendations have to be in by Thanksgiving, because the turkey that will be carved up will be Social Security, Medicare, Medicaid and any programs for the poor and middle class.

But never fear, for a month later, with the vote, it will be Christmas for the Kochs.

[tularetom]

3. All they need is one turncoat invertebrate Democrat on the "supercongress"

and they will get everything they want.

Harry Reid has already said he wants people on the committee who are willing to consider all options. Which means he is likely to appoint a DINO like Ben Nelson to this panel.

On the other hand McConnell flatly stated he will only appoint people who will not consider raising taxes. So you can safely predict votes of 7 to 5 for more cuts (except for defense).

I was really optimistic about the supercongress ending in gridlock and the triggers kicking in. Then I thought about how Democrats are.

Somebody will cave. All it takes is one out of six.